Rayburn Company purchased all of Kanodia Company's common stock for \(\$ 300,000\) cash on January 1, at which time the separate balance sheets of the two corporations appeared as follows:

During purchase negotiations, Rayburn determined that the appraised value of Kanodia's Other Assets was \(\$ 360,000\); and, all of its remaining assets and liabilities were appraised at values approximating their book values. The remaining \(\$ 20,000\) of the purchase price was ascribed to goodwill. Prepare the consolidating adjustments and the consolidated balance sheet at acquisition.

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Investment in Kanodia... Other assets.. Goodwill.... Total assets... Liabilities... Contributed capital.. Retained earnings. Total liabilities and equity.. Rayburn Company $ 300,000 1,150,000 $1,450,000 $ 450,000 700,000 300,000 $1,450,000 Kanodia Company $350,000 $350,000 $ 80,000 150,000 120,000 $350,000 Consolidating Adjustments Consolidated